**[Sonic Labs Launches Fee Monetization System to Drive Native Token into Deflationary Mechanism]** Odaily Planet Daily News – Sonic Labs CEO Mitchell Demeter announced that the company will launch a new Fee Monetization (FeeM) system to implement a deflationary model for its native token, S. The system establishes a tiered reward mechanism for ecosystem builders, with reward ratios ranging from 15% to 90% based on network usage. Validators will receive a fixed 10% fee allocation, while the remaining portion will be burned. Transaction fees on the Sonic chain will be paid in S tokens. Demeter stated that this move aims to incentivize developers and validators while strengthening long-term value through token burning. He emphasized, "Our goal is to increase deflationary intensity and enhance long-term value synergy." The system will be officially implemented through on-chain governance voting. Additionally, Demeter revealed that Sonic is about to enter a "new phase," including a U.S. expansion plan approved via governance and the introduction of certain Ethereum Improvement Proposals (EIPs) alongside proprietary Sonic Improvement Proposals (SIPs) to enhance developer usability and interoperability. (The Block)